The key interest rate in Azerbaijan is at its lowest level in four years and close to the neutral interest rate, Report informs referring to the Central Bank.
"In 2025, monetary policy decisions were made taking into account macroeconomic forecasts, changes in inflation risk factors, the situation on the foreign exchange market, and expectations of interest rate cuts in foreign countries. During the reporting period, the parameters of the interest rate corridor, according to a pre-established schedule, were discussed eight times. At six meetings of the Central Bank's board devoted to monetary policy, the decision was made to maintain the key rate, and at two, to lower it. Overall, monetary policy has been eased over the course of the current year, with the key rate reduced from 7.25% to 6.75%, the upper limit of the interest rate corridor from 8.25% to 7.75%, and the lower limit from 6.25% to 5.75%," the financial regulator said in a statement.